Florida’s insurance market in disarray

Florida’s insurance market is in a state of disarray. Uncertainties about the quality, price and availability of property insurance have left homeowners desperately seeking stability, and insurers are struggling to meet demands.

Insurance providers and consumers want more certainty about the future of property insurance in Florida, along with a better, more efficient insurance market, says Towers Watson.

In its new report, Florida Property Insurance: The Window of Opportunity, the global professional services company examines policies that attempt to strike a balance among the general price, availability and quality of property insurance in Florida. At the moment, regulatory changes, disabling natural disasters and the uncertain impact of future catastrophic events means the Florida market has minimal flexibility in rates and limited competition.

“The healthiest way to address the market would be to allow for freer competition,” James Hole, a leader in Towers Watson's reinsurance brokerage business, told Reactions. “That...